Credit: Nancy Lane

Supporters of Arthur T Demoulas shout out to a job applicant as he walks out of the center escorted by a police officer.

Credit: Nancy Lane

An employee at the Market Basket information technology center in Andover, above, films supporters of deposed CEO Arthur T. Demoulas as they confront applicants at a job fair.

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Market Basket employees are having their hours cut the embattled company said this afternoon reacting swiftly to knock down reports the grocery chain is laying off workers all as New Hampshire Gov. Maggie Hassan urged the chain to fix the mess.

"I continue to urge Market Basket leadership to listen to the concerns of their employees and customers and reach a constructive resolution in order to keep these dedicated workers employed and reduce the impact on consumers," Hassan wrote on her website today.

At the same time Market Basket brass knokced down reports of impending layoffs, but admitted hours are being cut.

“Store Directors were not instructed to lay off associates, but to adjust hours to meet current demand," a company spokesman said in a statement. "It is our hope that we will be back to normal business levels in the not too distant future and all associates will be back to a full schedule.”

Co-CEO Felicia Thornton notified all store directors today to reinforce the message that layoffs are not happening.

“I have issued an immediate communication for all Store Directors. All Store Directors are to let their associates know that they are not laid off. All Store Directors as part of their normal responsibilities are able to and often do reduce hours but they need to make clear when doing so that the individuals are still employees of DSM,” she said in a statement.

Also today, citing hundreds of calls from concerned Market Basket employees, Attorney General Martha Coakley has set up a hotline for workers inquiring about their legal rights once they are fired.

“Market Basket is a major employer in Massachusetts, and we remain hopeful that the parties will come together to reach a positive resolution and restore the vibrancy of the business,” Coakley said in a prepared statement. “With the rapidly evolving circumstances, we have established this hotline to answer questions directly from workers and make sure their rights are being protected.”

Coakley’s office said it has received more than a 100 calls during the past day and is anticipating more as the company has started its search for replacement employees. Market Basket warehouse workers and drivers have been protesting and rallying for deposed CEO Arthur T. Demoulas since they left their jobs July 18.

Coakley and New Hampshire Attorney General Joseph Foster wrote a letter to Market Basket brass to remind them of the laws regarding worker termination.

“As a threshold matter, we urge Market Basket to be mindful of the fact that its decisions have broad implications. Your decisions of course directly impact thousands of employees and thousands of customers in Massachusetts and New Hampshire,” the letter reads. “Those decisions also have serious implications for the many small businesses that supply your stores or otherwise rely on a close business relationship with Market Basket for their livelihood. Please keep all of these impacted persons in mind as you chart the course for Market Basket.”